105: Only when the tide goes out do you discover who's been swimming naked!

The shanghai composite index's dive wasn't too severe, but there were already situations where some individual stocks suffered flash crashes.

The main force behind today's plunge was the growth enterprise market, where stocks that had risen too fiercely in the previous period began hitting their limit down in batches today.

For many Stock Investors, today was a day of true market collapse.

It was rising just fine in the morning; how did it start collapsing as it approached noon?!

And the ones collapsing were all the stocks they held.

As for why it's basically always the stocks held by Retail Investors that fall whenever the market takes a dive.

And why, whenever the market surges—especially when the overall market index rises unilaterally—the stocks in the hands of Retail Investors never seem to go up?

This is very simple: Retail Investors love to play with stocks that have surged recently.

The current media sector and free trade zone sector are both examples of this.

These sectors have large gains and deep fluctuations; only by playing in these sectors can one experience the fun of the stock market.

Otherwise, if Retail Investors don't chase hot spots, are they supposed to go buy those stagnant bank stocks that never move?

This is also why there was a bloodbath today.

"The overall market index has collapsed, damn it, how did it suddenly collapse?!"

"I just bought Ourpalm today; it looked like the correction was complete and the platform had just started to break through, yet I ran into a sector collapse?! My luck is truly terrible."

"It's a collapse, run, brothers!!"

"With today's market conditions, if you hadn't moved your holdings, you could run now, but what am I supposed to do having just bought stocks this morning? I can only watch helplessly as the funds in my hands keep shrinking!!"

"In the end, I still didn't escape the post-National Day curse."

"I've already eaten one limit down; Huayi Brothers was the first to hit the floor, and that's exactly what I bought. How incredibly precise!!"

"Hahahaha, who's to say it isn't? I bought Enlight Media, so we're in the same boat."

"I was thinking everyone went to watch movies during the National Day holiday, so movie stocks might rise a wave after it ended. The key is that they were rising this morning too. Now it looks like this was just a bull trap!!"

The stock market collapsed.

Almost everyone's attention was drawn to it.

Constant falling.

Helpless wailing.

The shrinking of stock accounts.

The most miserable ones were the Stock Investors who had just started work today; at 12 PM, they finally had a chance to sneak a break and check the stock market.

As a result, the moment they opened their trading software, they saw this shocking bad news.

Inside a small company, a middle-aged man with messy, greasy hair wearing a plaid shirt rushed to the restroom the moment his lunch break started.

Not long after, a wail could be heard coming from the restroom: "Damn it!!"

He had originally opened his phone in high spirits; after all, around 10 AM, he had snuck a peek at the stock market and found the growth trend to be good.

The stocks he held had also risen by more than 2 points.

That's enough, that's enough!

He thought it might rise even more by noon; what if it hit 5 points?

After work got busy, the man didn't have time to watch the market, so he just waited to check it during his lunch break.

As it turned out.

The result was, damn it, it was up 2 points in the morning, and now it's hit limit down?

The man almost had a cerebral hemorrhage!!

"How could this happen? How could this happen? How did it suddenly collapse?"

"My money! Tens of thousands of yuan just gone like that. How much do I even earn in a year?!"

The man couldn't help but wail.

Such things were happening in every corner of China.

These office workers only had the chance to place sell orders for their holdings during this free time at noon.

And these sell orders were all their hard-earned money that they had saved up for years.

They had been harvested by the main force again!!

Some Stock Investors who hesitated, thinking it might rise tomorrow and preparing to wait a bit longer, were even more miserable, because the future market conditions would not be good either.

If the wailing of these Retail Investors was the market's main theme.

Then, one level up, those Hot Money players were definitely the ones who ran fast. Except for those who bought today and couldn't sell, the rest saw the situation wasn't right and immediately cut their losses and ran.

If you hesitate when you should act, you will surely suffer the consequences.

Hot Money players knew this principle well, so they cut their losses faster than anyone else.

A famous saying: those who cut quickly can lose a little less, while those who cut slowly go straight to hitting the limit down.

Besides that, the ones who lost the most severely today were actually those Fund Managers.

The advantage of Retail Investors and Hot Money is that small boats are easy to turn around.

But Fund Managers like them simply cannot change their positions in a single day.

Now they can only watch helplessly as the net value in their hands plummets.

Dong Baozhen, the Fund Manager operating the Bank of Communications Schroder Trend Priority Stock Fund, looked at the sector that had fallen the most severely today, and he felt like he was having a cerebral hemorrhage.

"Damn it, why is this media sector like this? It's been correcting for half a month, it should be due for another wave, how did it suddenly collapse?"

This past half-month was exactly when he had adjusted his positions into this media sector.

He was also acting out of desperation; he had picked the wrong sector in the first half of the year and missed out on this big wave of profit from the media sector.

Now that he had just bought in, he became the bag holder.

Looking at today's trend, he could already foresee how those Retail Investors would curse him after the net value updated that night.

"What should I do? What should I do!!"

"I'm afraid a bunch of panicked fund investors will redeem their funds tonight, and I'll have to liquidate my positions again tomorrow!"

"It's blown up; what am I supposed to do as a Fund Manager?"

Dong Baozhen's operation was actually the norm for many Fund Managers.

Most of them are professionally trained and have high degrees, but they lack a sensitive feel for the stock market; the funds they operate rely entirely on the overall market index to carry them.

When the tide rises, everything is great for everyone!

But once the tide goes out and the overall market index collapses, they are the first ones to drown.

That night.

The market was full of wailing; after the Stock Investors finished screaming, it was the fund investors' turn to scream.

When the net value updated, some extreme funds actually lost more than 8 points in a single day!!

This meant that basically all the stocks held were in a limit down state!

"Damn it, is this even a fund I'm holding? Isn't this just being a total sucker? Redeem, I'm redeeming right now!!"

"My fund also lost more than 5 points today; a month's worth of gains was just eaten up like that!!"

"I've figured it out; these Fund Managers are all just freeloaders, not a single one knows how to do their job!"

"I just don't know when Brother Lin's Public Fund will come out!!"

"Yes, when Brother Lin's fund comes out, I will definitely buy it!!"

Over at Junlin Finance.

A piece of good news also quietly arrived.

The company's Public Fund license had finally come through.

At this critical time node.